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Legislative Analyst's Office Statement |
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On Wednesday, November 18, the Legislative Analyst's Office (LAO), California's nonpartisan fiscal and policy advisor, issued the following statement:
"Our forecast of California's General Fund revenues and expenditures shows that the state must address a General Fund budget problem of $20.7 billion between now and the time the Legislature enacts a 2010-11 state budget plan. The budget problem consists of a $6.3 billion projected deficit for 2009-10 and a $14.4 billion gap between projected revenues and spending in 2010-11. Addressing this large shortfall will require painful choices-on top of the difficult choices the Legislature made earlier this year."
This projection is based on failed state budget solutions that many independent analysts questioned when they were introduced earlier this year. The LAO notes that California's operating deficits will be in the $20 billion range for a minimum of five years. This forecast is based on no cost of living increases for state funded programs through 2014-2015. The Legislative Analyst is recommending the implementation of mid-year budget cuts as soon as possible.
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| The Effects to AUHSD |
Throughout the Measure G campaign, the District consistently stated that the AUHSD parcel tax would not fill the widening state budget gap. Communications highlighted that a minimum of 15 teaching positions and various support services would be targeted for reduction even if Measure G was approved. Any increase in district operating costs will require greater reductions in district-wide services.
During December and early January the state's fiscal picture will be re-evaluated by the Governor and State Legislature. While it is truly an unpleasant task to make student and staff service reductions, state law mandates that a school district's governing board must approve a balanced budget for its current year and demonstrate the ability to remain solvent for two successive years. Prior to the state's mid-year revisions, the District will be holding conversations with concerned citizens regarding service reduction priorities.
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